Building Financial Security Through Professional Expertise and Training
Financial planners guide individuals and families toward financial security through expert advice tailored to unique circumstances.
"Financial Planners help individuals and families manage their finances to achieve their life goals," says Hayden Hill, CFP® and Wealth Advisor at BentOak Capital. "This includes creating strategies for saving, investing, retirement, tax planning, estate planning, and more."
Core Areas and Career Paths
Personal financial planning encompasses numerous specialized areas that work together to create comprehensive financial strategies. These areas include:
- Budgeting & Cash Flow Management - Tracking income, expenses, and savings to maintain financial stability
- Saving & Investing - Building wealth through various investment vehicles
- Retirement Planning - Ensuring long-term financial security
- Insurance Planning - Managing risk through appropriate coverage
- Tax Planning - Minimizing tax liabilities strategically
- Estate Planning - Facilitating efficient wealth transfer
- Debt Management - Handling loans and liabilities effectively
- Education Planning - Preparing for education costs
Education and Certification
The path to becoming a financial planner typically combines education with professional certification.
"Most start with a degree in personal financial planning, finance or business," explains Devin DeLapp, CFP®, CDFA® Wealth Advisor & Stakeholder at SFMG Wealth Advisors. "Earning the Certified Financial Planner™ (CFP®) designation is highly recommended, which requires completing a CFP Board-approved education program, passing the CFP® exam, gaining work experience, and adhering to ethical standards."
Other valuable certifications include Chartered Financial Consultant (ChFC®) and Chartered Financial Analyst (CFA®). Most positions require relevant licenses for those providing investment or insurance services.
Students pursuing education in personal financial planning can expect courses covering various aspects of the field:
- Principles of Financial Planning - Introduction to concepts, regulations, and processes
- Insurance Planning & Risk Management - Various insurance types and risk assessment strategies
- Investment Planning - Portfolio management, asset allocation, and market analysis
- Tax Planning - Tax strategies for individuals and businesses
- Retirement Planning & Employee Benefits - Retirement accounts, Social Security, and income strategies
- Estate Planning - Wills, trusts, and wealth transfer
- Psychology of Financial Planning – Behavioral finance, money conflict, counseling, effective communication, crises events, and client/planner attitudes, values, and biases.
- Financial Plan Development - Applying knowledge through case studies and real-world scenarios
Advisor vs. Planner: Understanding the Difference
Though often used interchangeably, the terms financial advisor and financial planner can denote different roles and approaches.
"Financial Planner typically focuses on creating comprehensive financial plans, while a Financial Advisor may focus more on combining the results and recommendations from the financial plan with a client's investment strategy," DeLapp notes. "Those who incorporate planning tend to take a more holistic approach."
Financial advisors generally offer broader services, including investment management and selling financial products, while financial planners focus on creating comprehensive financial strategies. Their certifications, client focus, and compensation models may also differ.
Advice From Professional Financial Planners
Technical knowledge matters, but relationship skills prove equally important.
"The key to our profession isn't necessarily your proficiency in financial planning
but how well you connect with people," Hill emphasizes. "You will not be managing
money or finances, but you will be managing people and their expectations."
DeLapp adds, "Focus on building relationships and listening to clients — understanding their values and goals is at the heart of good financial planning. Also, embrace lifelong learning. The financial landscape is always evolving."
As financial complexities increase, qualified planners provide invaluable guidance to those seeking financial security and success.
Explore The Programs
https://www.depts.ttu.edu/hs/pfp/index.php#:~:text=Personal%20Financial%20Planning%20Programs
Experts Featured in this blog:
Hayden Hill, CFP® / Wealth Advisor at BentOak Capital:
https://www.linkedin.com/in/hayden-hill-cfp%C2%AE-82266583
Devin DeLapp, CFP®, CDFA® / Wealth Advisor & Stakeholder at SFMG Wealth Advisors:
https://www.linkedin.com/in/devindelapp